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Boilerplate clause


A boilerplate clause is a legal English term that is used in conjunction with contract law. When forming contracts, parties to the contract often use templates or forms which include boilerplate clauses (boilerplate language - used as standard language). Such clauses refers to the standardized clauses in contracts and they are to be found towards the end of the agreement. Including boilerplate clauses is the process, by which parties to the contract may define their relationship in a better way and they are willing to provide certainty if terms in the contract are ever disputed. Boilerplate clauses are standard contractual terms that are routinely included in many contracts. Some of the most common clause types are listed below:

Assignment clause is based on prohibiting or permitting a complete transfer or rights under the contract to another party.

An example:

The transfer may be prohibited or permitted entirely or in part. The example of permitting assignment under specified circumstances is:

An example: The hulls and freight clauses contain a similar "assignment clause" which states that no assignment is binding unless a dated notice of assignment, signed by the assured is endorsed on the policy and the policy is produced before payment of claim or return of premium.

A force majeure clause is designed to protect against failures to perform contractual obligations caused by unavoidable events beyond a party’s control, such as natural disasters. Force majeure clauses are primarily used to identify circumstances in which performance of contract may be forgiven

An example:

A specific boilerplate clause which is stated to forgo taking any dispute that may arise to court. Parties to the contract are to refer the dispute to an arbitrator to reach out-of-court settlement.

An example:

Severability clause provides that in the event of one or more provisions of the contract are determined to be unenforceable, the rest of the contract remains in force.

An example:


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